Ohio Your Choice! Down Payment Assistance Program Guide

Guide to the Ohio Your Choice! Down Payment Assistance Program

The Ohio Your Choice! Down Payment Assistance Program is designed to provide homebuyers with the financial support needed to cover down payment and closing costs. Offering flexibility and affordability, this program makes homeownership more accessible for low- and moderate-income buyers. Below is a comprehensive guide to the program’s benefits, eligibility requirements, and how to apply for 2025.

1. Program Overview:

• Purpose: The Your Choice! Program offers financial assistance to help homebuyers reduce upfront costs, making it easier to afford a home.
• Down Payment Assistance: Eligible buyers can receive up to 5% of the home’s purchase price to cover down payment and closing costs.
• Flexible Repayment: Assistance is provided as a forgivable loan, with options for repayment if the home is sold or refinanced within a specific period.

2. Eligibility Requirements for 2025:

To qualify for the Ohio Your Choice! Down Payment Assistance Program, applicants must meet the following criteria:

• Homebuyer Status: The program is available to both first-time and repeat homebuyers purchasing a primary residence in Ohio.
• Income Limits: Household income must fall within program limits, which vary based on county and household size. These limits are updated annually to reflect area median income (AMI).
• Purchase Price Limits: The home’s purchase price must not exceed program-specific limits, which are adjusted annually to reflect local housing costs.
• Primary Residence: The property must be located in Ohio and used as the buyer’s primary residence. Investment properties and vacation homes are not eligible.
• Credit Requirements: A minimum credit score of 640 is required. Specific requirements may vary by lender and loan type.
• Homebuyer Education: Completion of a homebuyer education course is mandatory to ensure buyers are prepared for the financial responsibilities of homeownership.

3. How to Apply:

The application process for the Ohio Your Choice! Down Payment Assistance Program involves the following steps:

• Contact a Participating Lender: Begin by reaching out to an OHFA-approved lender. They will verify your eligibility and guide you through the application process.
• Submit Required Documentation: Provide proof of income, credit history, tax returns, and a certificate from the required homebuyer education course.
• Complete the Application: Work with your lender to complete the application and submit all necessary documents for review and approval.

4. Program Benefits:

• Generous Assistance: Buyers can receive up to 5% of the home’s purchase price to cover down payment and closing costs, reducing upfront expenses.
• Forgivable Loan: Assistance is structured as a forgivable loan, meaning no repayment is required if the buyer remains in the home for at least seven years.
• Broad Eligibility: The program is available to both first-time and repeat buyers, accommodating a wide range of applicants.

5. Assistance Details:

• Assistance Amount: Buyers can receive up to 2.5% or 5% of the home’s purchase price, depending on the selected option, to be applied toward down payment or closing costs.
• Repayment Terms: The loan is forgivable after seven years of residency. If the buyer sells or refinances the home before the seven-year period, partial repayment may be required.

6. Additional Considerations:

• Combination with Other Programs: The Your Choice! Program can often be combined with other OHFA programs or federal assistance to maximize benefits for eligible buyers.
• Program Fees: Some fees may apply during the application process, which your lender will explain in detail.

The Ohio Your Choice! Down Payment Assistance Program is an excellent option for homebuyers looking to reduce upfront costs and secure affordable mortgage financing in 2025. By offering flexible assistance and forgivable loans, this program helps make homeownership a reality for eligible buyers. Contact an OHFA-approved lender today to learn more and start your application process.